DBS, OCBC shares hit record highs, but UOB lags behind

SINGAPORE – Shares of local banks DBS and OCBC hit record highs last week, but UOB trailed behind its peers.

DBS surged to a record high of $56 on Dec 16, before paring gains to close at $54.87 on Dec 19. OCBC shares opened at a fresh high of $19.69 on Dec 19, before closing at $19.55.

UOB lagged behind its peers, trading largely flat through the week to close on Dec 19 at $34.70.

The bank had announced in November that its allowances for credit and other losses more than quadrupled to $1.36 billion, from $304 million a year earlier, as it “took proactive steps to strengthen its provision coverage amid ongoing macroeconomic uncertainties and sector-specific headwinds”.

A Bloomberg article published on Dec 17 noted that UOB had financed properties in Hong Kong, including loans to Chinese developers.

It added that in 2025, the bank has had to work through several deals where borrowers struggled to refinance or defaulted, and is paring its overall exposure to Greater China amid a commercial real estate downturn.

Bloomberg also said that UOB has held off from demanding repayment on some Hong Kong and China real estate loans that matured in the past year, instead, working with its clients to renegotiate terms and roll over the debt, citing people familiar with the matter.

“UOB is committed to doing right by our customers through the ups and downs of economic cycles,” a bank spokeswoman told Bloomberg.

“We take a long-term view of banking relationships, and work closely and constructively with customers facing challenges, offering appropriate solutions while safe­guarding the interests of our stakeholders.”

Across the broader market, the benchmark Straits Times Index slipped 0.02 per cent, or 0.83 points, to close at 4,569.78 points on Dec 19. The iEdge Singapore Next 50 Index fell 0.1 per cent, or 1.51 points, to 1,434.85.

Singapore property deals

Acrophyte Asset Management has issued a disclosure of interest notification to acquire ESR Trust Management (Suntec), the manager of Suntec Real Estate Investment Trust (REIT).

Acrophyte, which is controlled by China-born property tycoon Gordon Tang, plans to enter a conditional sale and purchase agreement with subsidiaries of ESR Group to acquire ESR Trust Management’s 100 per cent indirect interest in the manager.

Mr Tang currently owns, directly and through his affiliates, a 35.7 per cent stake, or about one billion units, in Suntec REIT, while ESR Trust Management owns a 10.8 per cent stake.

Suntec REIT holds a 66.35 per cent interest in Suntec Singapore Convention and Exhibition Centre.

It also holds one-third stakes in One Raffles Quay, as well as the Marina Bay Financial Centre (MBFC) Towers 1 and 2 and the Marina Bay Link Mall. These are held in a joint-venture arrangement with Keppel REIT and Hongkong Land.

Earlier in December, Hongkong Land

unveiled a new $8 billion Singapore private real estate fund

and said it will inject its stakes in MBFC Towers 1 and 2 and One Raffles Quay into the vehicle. It also sold its $1.45 billion stake in MBFC Tower 3 to Keppel REIT on Dec 11.

Suntec REIT closed up 6.52 per cent through the week at $1.47 on Dec 19.

Meanwhile, a large mixed-use site in Hougang Central drew three bids when its tender closed on Dec 16, with a joint venture between CapitaLand and UOL Group companies submitting the top bid of $1.5 billion, or $1,179 per sq ft per plot ratio.

The CapitaLand-UOL joint venture said that if it is awarded the tender, the 99-year leasehold site will be developed by UOL and CapitaLand Development in a 50-50 split.

The group said that it will draw on its combined experience to transform the mixed-use development into a major civic hub for community events and activities, with a sheltered public event space and food-and-beverage options.

“With around 830 residential units and about 300,000 sq ft of net lettable area for retail and lifestyle offerings, the project will be the largest mall in Hougang and a key anchor for future growth of the precinct,” it added.

Shares of CapitaLand Investment edged up 2.67 per cent over the week to close at $2.69 on Dec 19, while UOL Group shares rose 2.24 per cent to $8.68.

DFI Retail closes Mannings stores in China

Mainboard-listed DFI Retail Group’s beauty and wellness business Mannings on Dec 17 announced the closure of all its stores in mainland China.

The chain is a household brand in Hong Kong and Macau, where it has operated for more than 50 years. It also operates as Guardian in some ASEAN countries, including Singapore.

A spokesperson for DFI Retail Group said in response to queries from The Business Times on Dec 19 that Mannings’ closure in mainland China does not have an impact on Guardian’s operations in Singapore.

In March, DFI Retail announced the sale of all Cold Storage and Giant supermarket outlets in Singapore, as well as two distribution centres, to Malaysian retail group Macrovalue for $125 million.

Shares of DFI Retail rose 2.27 per cent through the week to close at US$4.05 on Dec 19.

Other market movers

Catalist-listed engineering services provider Ever Glory said its public offer of two million shares was 7.6 times subscribed, with valid applications for 15,288,700 shares. The offer is part of the company’s proposed transfer to the Singapore Exchange mainboard.

The company said on Dec 10 that the shares were priced at 64 cents each, a 9.1 per cent discount to the volume-weighted average price of 70.4 cents for trades on Dec 9.

Meanwhile, construction and engineering firm Soilbuild Construction has proposed a four-for-one share split to improve share affordability amid a 318.5 per cent rise in its share price in the year to date.

The mainboard-listed company said on Dec 15 that the move was driven by an improved construction market outlook, its strong financial performance for the first six months ended June 30, and the “positive impact” of the Equity Market Development Programme (EQDP).

The EQDP is a $5 billion initiative launched by the Monetary Authority of Singapore to invest in and boost the vibrancy of the local stock market.

Shares of Soilbuild Construction climbed 7.62 per cent through the week to close at $3.39 on Dec 19.

Elsewhere, unit holders of Manulife US REIT have approved a broadened investment mandate, allowing the real estate investment trust to expand beyond the office sector and outside the US.

At a vote on Dec 16, 83 per cent of unit holders approved both resolutions under the “Growth and Value Up” plan, which allows the REIT to invest in industrial, living sector and retail assets in the US and Canada.

Units of Manulife US REIT fell over 4 per cent through the week to close at 7.1 US cents on Dec 19.

Beyond the Republic

Shares of Hong Kong-listed Pop Mart International Group have plunged more than 40 per cent from its peak in August to close at $1.59 on Dec 19. This comes amid waning interest in the Chinese toy maker’s flagship Labubu product.

Pop Mart, which listed in 2020, saw its shares soar 200 per cent earlier in 2025, after its Labubu dolls were made popular by Lisa of South Korean all-girl band Blackpink.

TikTok parent ByteDance said on Dec 18 that it had signed binding agreements with three major investors to form a joint venture to operate the app’s US business as it seeks to avoid a potential US ban.

The deal will see US and global investors hold 80.1 per cent of the venture.

Under the arrangement, 50 per cent of the investors in TikTok US will be new, with Oracle, private equity firm Silver Lake and MGX, an Abu Dhabi-based investment company, each gaining 15 per cent ownership.

Meanwhile, 30.1 per cent will be held by affiliates of certain existing investors of ByteDance, while ByteDance will retain a 19.9 per cent stake.

It comes after a law passed in 2024 requiring the app’s US business to be spun off from ByteDance or be banned in the country. Enforcement was repeatedly delayed as US President Donald Trump sought a deal to transfer control of the app to US ownership.

Both TikTok and ByteDance are currently unlisted.

What to look out for this week

Singapore’s consumer price index data will be released on Dec 23, while the manufacturing output figures are due on Dec 26.

The US will release preliminary GDP data for the third quarter on Dec 23. This will be closely watched as changes in GDP are the most popular indicator of the nation’s overall economic health.